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Buy a US$70K car for US$10K brand new?

24 Jul 2024

The world of motor vehicles is changing.

For a century or so, cars relied on pretty much the same technology. Reciprocating internal combustion engines (ICE) drove the wheels and ran on liquid hydrocarbon fuels.

This configuration was extremely long-lived because it simply worked, was relatively cheap to make and was easy to keep fueled by way of petrol stations that were cost-effective and efficient.

Whilst many of the fine details have changed over the decades, today's ICE engine works on exactly the same principles as those made in the early 1900s. Pistons, valves, spark plugs, crankshafts, camshafts... they're all still around, even though carburetors have been replaced by fuel injectors and computers have replaced mechanical vacuum and centrifugal timing systems.

However, new technologies are emerging and old technologies are being reinvented in an attempt to relegate the ICE to the history books.

The most obvious re-invented tech is the EV.

Battery powered cars are nothing new, they were around way back in the early days of motoring -- it's just that they weren't very good.

The first EVs used heavy lead-acid batteries that gave a very short range and due to the limitations of early electric motors, they were not very fast either.

Today's EVs are a different kettle of fish however. The emergence of lithium-based battery tech has massively increased range and power while new electric motors have boosted efficiency and performance -- to the point where they are now a very practical alternative to the ICE for a growing number of people.

There is a new technology that was also floated a few years back and had the backing of automotive giants such as Toyta and Honda. Unfortunately, it has not fared nearly so well.

Just like an EV, it promised "zero emissions" but also dangled the carrot of greater range and very fast refueling.

I am, of course, talking about hydrogen-fueled cars using fuel-cells connected to power electric drivetrains.

Way back in 2008, Honda unveiled and started production of its FCX Clarity, a vehicle with a 100KW hydrogen fuel cell.

Not to be outdone, Toyota brought their FCV Mirai hydrogen-powered car to the market in 2014 with all the same promises.

According to a video posted by "The Electric Viking" on YouTube, the Mirai had a sticker-price of around $70k but was later reduced to around $50K but now, Toyota is virtually giving them away.

That video claims that the Mirai is now carries a sticker price of $25K but it comes with $15K worth of free fuel, effectively making the purchase price just $10K.

That's a pretty steep discount and if you're already the owner of one of these hydrogen-powered vehicles you'd likely be spewing right now when considering how much money you've lost.

So why are these cars now so super-cheap?

Well it appears there are serveral reasons and I covered one just a few weeks back in this column: the number of refueling stations, which was already very low, is dropping because there's no demand. This means it's becoming increasingly hard to find somewhere to fill up your Mirai and in some cases, drivers are having to get their vehicles towed after being unable to find a place within the remaining range to refuel.

This, and the fact that the Mirai doesn't even come close to meeting the claims made for it in respect to range, has resulted in owners filing a class-action lawsuit against Toyota.

Their tragic situation is made even worse because the price they pay for hydrogen (when they can get it) has more than doubled in the past few years -- making it more expensive to run an H2 vehicle than a gas-powered one.

Owch!

Given the small number of these cars that Toyota has actually sold and the company's reputation for quality and customer service , I would have expected them to have stepped up to the plate and offered some kind of compensation for the huge losses that Mirai purchasers are enduring right now. Perhaps a really good trade-in on a Camry or Corolla hybrid for instance?

Hopefully this fiasco will help remind people that hydrogen is actually a lousy fuel in the real world. Sure, it looks fantastic on paper but once you factor in all the complications of production, distribution, supply and storage; it sucks.

Never the less, we have the aviation industry falling over itself in virtue-signalling attempts to introduce H2 as a fuel for air transport. Hell, if we can't make it work on the ground it sure as hell isn't going to work in the air where the demands are far greater.

Carpe Diem folks!

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